Klarna Shares Drop 9% Post-Earnings Despite Revenue Beat
Klarna's stock tumbled 9% Tuesday despite reporting better-than-expected Q3 revenue and user growth. The buy-now-pay-later pioneer posted a $903 million top line and 114 million active users, but wider operating losses spooked investors.
The Swedish fintech's adjusted operating loss of $14 million exceeded analyst projections by 24%. Market reaction underscores the precarious balance between growth and profitability in the BNPL sector, even as the payment method gains mainstream traction for everyday purchases.
Klarna's forward guidance suggests continued expansion, with Q4 revenue projected between $1.065-1.080 billion. The company plans to originate $6.5 billion in loans while rolling out a new membership program to diversify revenue streams.
